Solutions Manual For Accounting 3rd Edition By H. Randell

Solutions Manual
Accounting and
Finance for Non-
Specialists

Sixth edition


Peter Atrill
Eddie McLaney

,Solutions to Exercises




10
© Pearson Education Limited 2008

, Peter Atrill and Eddie McLaney, Accounting and Finance for Non-Specialists, 6th Edition,
Instructor’s Manual

Solution to Exercise 2.3 Joe Conday

Balance sheet as at 1 March

£
Bank 20,000

£
Equity 20,000


Balance sheet as at 2 March


£
Bank (20,000 − 6,000) 14,000
Fixtures and fittings 6,000
Inventories 8,000
Total assets 28,000

£
Equity 20,000
Trade payables 8,000
Total equity and liabilities 28,000


Balance sheet as at 3 March

£
Bank (14,000 + 5,000) 19,000
Fixtures and fittings 6,000
Inventories 8,000
Total assets 33,000

£
Equity 20,000
Trade payables 8,000
Borrowings 5,000
Total equity and liabilities 33,000




11
© Pearson Education Limited 2008

, Peter Atrill and Eddie McLaney, Accounting and Finance for Non-Specialists, 6th Edition,
Instructor’s Manual

Balance sheet as at 4 March

£
Bank (19,000 − 7,000 − 200) 11,800
Fixtures and fittings 6,000
Inventories 8,000
Motor car 7,000
Total assets 32,800

£
Equity (20,000 − 200) 19,800
Trade payables 8,000
Borrowings 5,000
Total equity and liabilities 32,800


Balance sheet as at 5 March

£
Bank (11,800 − 2,500) 9,300
Fixtures and fittings 6,000
Inventories 8,000
Motor car 9,000
Total assets 32,300

£
Equity (19,800 − 500) 19,300
Trade payables 8,000
Borrowings 5,000
Total equity and liabilities 32,300




12
© Pearson Education Limited 2008